The regulatory approval process for Alaska Airlines’ planned acquisition of Virgin America is moving to the next stage. Both airlines said Monday they had received requests for more information on the proposed transaction from the U.S. Department of Justice.

Alaska Air Group, the parent of Alaska Airlines, announced a $2.6 billion offer to acquire Virgin American in early April.

The two airlines said that the “second request” is a standard part of the regulatory review and extends the period that they must wait to close the transaction, until 30 days after both have responded to the request or if the waiting period is otherwise terminated by the Justice Department.

Both carriers plan to respond promptly, they said, adding they are “confident” that they will obtain approval to close the deal no later than January 1, 2017.

Upon closing, which is subject to the approval of Virgin America’s shareholders and other customary closing conditions, the deal will create the nation’s fifth largest airline, although it will be much smaller than its four larger competitors, which together control 80% of the market.

The coronavirus is now affecting 104 countries and territories across the globe and many travelers are postponing or cancelling their travel plans as a result.
In some cases, a traveler is holding off because travel to his destination is simply not possible due to quarantine and containment rules; in others, it’s simply a desire not to go somewhere where one might end up with the coronavirus or trapped in a quarantined …

In early May, Warren Buffett divested all of his investment firm’s holdings in the four major U.S. airlines, warning that the “world has changed” for the aviation industry due to the coronavirus crisis. In mid May, Boeing CEO Dave Calhoun said he saw a bumpy road ahead for the airline industry and predicted that a major carrier would not survive 2020 as a result.
It appears Buffett and Calhoun were on …